August 15, 2023

By Lynda Kiernan-Stone, Global AgInvesting Media

In recent years, concerns associated with animal protein production have increasingly come to the fore, including antibiotic resistance, sustainability, animal welfare, food-borne illnesses, and perhaps most pressingly, the environmental impact of such production systems.

Exacerbating these concerns is the knowledge that meat consumption is projected to grow by 40-70 percent by 2050 to keep pace with population growth and global consumption shifts. And although all food production carries with it some level of carbon footprint, meat production is a stand-out offender. 

Global protein consumption is expected to climb at a compounded annual growth rate (CAGR) of 1.7 percent, reaching 943 million tons by 2054, according to Lux Research. On a global scale, greenhouse gas emissions generated by our current animal agriculture industry working to meet this demand account for 14.5 percent of all man-made greenhouse gas emissions – more than the worldwide transportation sector.

However, we are not without options. A study conducted by the Dutch independent research firm CE Delft indicated that cultivated meat production has the potential to reduce greenhouse gas emissions by up to 92 percent and land use by up to 95 percent, compared to conventional production. With such potential to benefit society and the environment, consulting firm Kearney estimated that the category could account for as much as 35 percent of the $1.8 trillion global meat market by 2040. 

As these societal, environmental, and consumption trends align, cell-cultured meat technology is on a growth trajectory, and the number of players developing clean meat, and the amounts of capital being invested in these technologies is growing.

One such company is Dutch cultivated meat pioneer Meatable. Utilizing a novel, Nobel Prize-winning patent developed by scientists at Cambridge and Stanford Universities and breakthrough stem cell technologies, Meatable has a vision to overcome the challenge of making truly slaughter-free meat from a single cell. 

Called OPTI-OX, the company’s proprietary technology begins with only one sample of cells taken from an animal without harming it, and then replicating the natural growth process to sustainably produce real muscle and fat cells in only eight days – reflecting a level of efficiency that will enable the company to scale production quickly and cost effectively. 

Recognizing the potential that this represents, the company announced it has raised $35 million in new funding led by UK-based VC firm Agronomics. The round also saw new investor Invest-NL, a Dutch impact fund, come onboard, and renewed backing from existing investors BlueYard, Bridford, MilkyWay, DSM Venturing, and Taavet Hinrikus.

“We’re thrilled to welcome Invest-NL on board and to have renewed support from our existing investors,” said Krijn de Nood, co-founder and CEO, Meatable. 

The funding from this round will be used by the company to further scale its process to become cost competitive with traditional meat and to reach commercial volumes as it aims to accelerate the commercial launch of its products – starting in select restaurants and retailers in Singapore from 2024. 

A hurdle that has been universally challenging for the entire cultivated meat and fish industries has been one of regulatory and governmental clearance. Singapore was the first market to issue its approval for the sale of cultivated chicken in 2020, but more recently, startups were given a major boost when a landmark decision by the USDA to approve the sale of lab-grown chicken to U.S. consumers from two California companies – Upside Foods and Good Meat. 

This decision has signaled a positive future for the industry in one of the world’s largest markets, sparking investments and strategic plans for expansion and commercialization. 

“Both the regulatory landscape and the continued investments are aligning to show demonstrated momentum,” said de Nood. “This is a huge sign of confidence in the incredible quality, taste, and proven scalability of our product, especially in the current investment climate. We look forward to working closely with our investors as we enter our next growth phase and cement our position as global leaders in the cultivated meat industry.”

~ Lynda Kiernan-Stone is editor in chief with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, as well as HighQuest Group’s Unconventional Ag. She can be reached at lkiernan-stone@globalaginvesting.com.

*The content put forth by Global AgInvesting News and its parent company HighQuest Partners is intended to be used and must be used for informational purposes only. All information or other material herein is not to be construed as legal, tax, investment, financial, or other advice. Global AgInvesting and HighQuest Partners are not a fiduciary in any manner, and the reader assumes the sole responsibility of evaluating the merits and risks associated with the use of any information or other content on this site.